Aruma Resources Share Price High on New Saltwater Licence
The Aruma Resources Ltd’s [ASX:AAJ] share price has opened higher today with the news its has secured exploration licences for its Saltwater gold project.
The AAJ share price is up 25% at the time of writing to trade at 0.5 cents per share.
This morning’s announcement comes just a week after the explorer had identified what it described as a large target on their existing tenements.
With the new licences secured, AAJ moves one step closer to getting exploration started at Saltwater.
The AAJ share price has returned 66.67% over the past 12 months.
What is at Aruma’s Saltwater project?
Just last week AAJ expanded the Saltwater gold project to encompass an area of 463km2.
The company has interpreted the area to sit along the same Nanjilgardy fault as Northern Star Resources Ltd’s [ASX:NST] Paulsens Gold Mine and the Mt Olympus Gold Mine.
Believing the tenements to host over 65km of the Nanjilgardy fault.
Today it seems AAJ are confident they could have some serious gold mineralisation on their hands.
AAJ have secured three exploration licences to target priority areas at the project — Saltwater, Monster, and Big Hill Anomalies.
Source: Aruma Resources
The Saltwater project is located in the historic gold region of the Pilbara, WA.
Though the company describes the area as ‘under explored’, the Pilbara is a geologically rich area.
Which is probably a good thing if you’re a gold explorer — you’ve already got a decent idea where to look.
In fact, back in March De Grey Mining Ltd [ASX:DEG] claimed it has struck potentially the largest discovery ever in the region.
In June I mentioned that we could have an unofficial gold rush on our hands.
With more and more gold explorers piling into the iron rich Pilbara region, who’s to say we don’t?
Cash spent on gold exploration nationwide has been steadily increasing since 2014.
Just look at the graph below:
Phase One exploration
It could be a few months at the earliest until we see drill results from the area.
Mapping and rock chip sampling need to take place first in order to identify suitable drill targets.
So, finding out what is below the surface depends on the speed AAJ completes this preliminary work.
According to their latest quarterly cash flow report, AAJ say they are funded for at least another 15 months.
Which could help ensure a smooth start to Phase One exploration.
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